MARSH GRANTED INDUSTRY
- FIRST LICENSE IN CHINA
January 23, 2007
Marsh today announced it has been awarded China’s first ever Wholly-Owned Foreign Enterprise (WOFE) insurance broking license. The new license provisions, subject to tax and regulatory approvals, are in-line with China’s World Trade Organisation commitments to open its insurance industry to foreign investment.
Under terms of the new licensing agreement, Marsh’s existing risk consulting business will have its scope expanded in China to include brokerage for insurance of large scale commercial risk, brokerage for reinsurance, brokerage for international marine, aviation, and transport insurance. The firm will operate in China as Marsh (Beijing) Insurance Brokers Co. Ltd.
“We are very grateful to the Chinese insurance regulator, China Insurance Regulatory Commission, for awarding Marsh the first WOFE insurance broking license in China,” said Marsh Chairman and CEO, Brian Storms. “In turn, we will continue to use all of our global resources to support the development of a Chinese market that Marsh considers to be one of its most important globally.”
The granting of a WOFE license to Marsh represents a significant development for foreign entities operating in China’s insurance market. Marsh’s Asia Pacific CEO, David Batchelor, says the company is excited to grow its operations and capabilities in China under the expanded terms of its new licensing agreement.
“Marsh has been in China for 25 years ? first as a representative office, then as insurance and risk management consultants ? and has devoted a great deal of time to building an understanding of the risk and insurance issues of Chinese and foreign multi-national businesses,” Batchelor said. “Receiving this new licence means Marsh’s clients in China now have access an unparalleled range of services being delivered through our firm’s global network of risk and insurance specialists ? an unmatched proposition anywhere in the world.”
Marsh CEO of Greater China Region, Paul Wilkins, based in Beijing, said Marsh has an ever-increasing portfolio of global clients who are active and expanding in China, or looking at entering the market.
“The China Insurance Regulatory Commission has been driving an increased awareness of risk management among Chinese businesses,” said Wilkins. “Within China we have been supporting this activity, particularly in major risk and insurance management sectors like aviation, space, marine and energy, and financial institutions. We are delighted with the prospect of providing new product opportunities to enrich the expanding Chinese market.”
Marsh has previously provided risk management and insurance broking services from three offices in China ? Beijing, Shanghai, and Guangzhou. The firm has communicated future expansion plans into Chengdu, Western China, subject to CIRC approval.
“We have seen an increasing demand for more sophisticated risk and insurance solutions from local Chinese companies, and we are well prepared to support them, both in China and as they go global,” said Wilkins.
“We see great interest in areas such as Directors’ & Officers’ liability, environmental issues, pandemic preparedness and product liability. We are actively recruiting and training colleagues in China to support our clients’ growth and our firm’s expansion of services.”
Contact:
Starry Zou
Marketing & Communications Manager - China
Tel: +86 10 6505 8887 ext 325
Fiona Gibb
Asia Pacific Head of Communications & Marketing
Tel: +61 414 524 103
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